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--- 105 Cal.Rptr.2d 214 --- FRIENDS OF SIERRA MADRE et
al., Plaintiffs and Appellants, v. CITY OF SIERRA MADRE et
al., Defendants and Appellants. No. S085088. Supreme Court of
California. March 29, 2001 SUMMARY Petition was filed for writ of mandamus to set aside
voter-approved initiative measure that removed 29 properties from city's
register of historic places. The Superior Court, Los Angeles County, No.
BS051577, Robert H. O'Brien, J., granted petition. Appeals were taken. The
Court of Appeal affirmed in part and reversed in part. The Supreme Court
granted review, superseding the opinion of the Court of Appeal. The Supreme
Court, Baxter, J., held that: (1) California Environmental Quality Act (CEQA)
compliance was required, as ballot measure was generated by city council in
exercise of its discretion, rather than by voter petition; (2) election contest
was not proper method for instant challenge; (3) use of petition for writ of
mandate is proper procedure by which to challenge validity of statute or
ordinance enacted without compliance with CEQA; and (4) mandamus was warranted
by city council's CEQA noncompliance. Affirmed. COUNSEL Brandt Hawley & Zoia, Susan Brandt Hawley and Rose
M. Zoia, for Plaintiffs and Appellants. Bill Lockyer, Attorney General, Richard M. Frank,
Chief Assistant Attorney General, Matthew Rodriguez and Theodora Berger,
Assistant Attorneys General, Timothy R. Patterson and Christine Ann Sproul,
Deputy Attorneys General, for State of California ex rel. Attorney General Bill
Lockyer, as Amicus Curiae on behalf of Plaintiffs and Appellants. Rosenthal & Zimmerman and Deborah M. Rosenthal for
California Preservation Foundation, as Amicus Curiae on behalf of Plaintiffs
and Appellants. Michael H. Buhler and Elizabeth S. Merritt for
National Trust for Historic Preservation, as Amicus Curiae on behalf of
Plaintiffs and Appellants. Antonio Rossmann and Roger B. Moore for Planning and
Conservation League, as Amicus Curiae on behalf of Plaintiffs and Appellants. Stuart M. Flashman; Christopher Schlies; Howie, Long,
LaForce & Smith and Norman LaForce for Preserve Area Ridgelands Committee,
Inc. , and Citizens for Balanced Growth, Inc., as Amici Curiae on behalf of
Plaintiffs and Appellants. Attorneys for Respondent: Charles Martin, City
Attorney; Landels, Ripley & Diamond, Janine K. Massey, Donald Sobelman,
Edward J. Heisel; Milberg Weiss Bershad Hynes & Lerach, Sanford Svetcov;
Morrison & Foerster, Michael H. Zischke and Andrew B. Sabey, for Defendants
and Appellants. Louise H. Renne, City Attorney (San Francisco), Ellen
Forman, Chief Deputy City Attorney, Kate H. Stacy and Susan S. Cleveland,
Deputy City Attorneys; Richards, Watson & Gershon, Craig A. Steele (Agoura
Hills); Carol A. Korade, City Attorney (Alameda); Robert Zweben, City Attorney
(Albany); William Galstan, City Attorney (Antioch); Pamela Albers, City
Attorney (Avalon); Robert M. Sherfy, Assistant City Attorney (Bakersfield);
Michael G. Colantuono, City Attorney (Barstow and Monrovia); Terry B.
Stevenson, Assistant City Attorney (Burbank); William S. Smerdon, City Attorney
(Calipatria); Ronald R. Ball, City Attorney (Carlsbad); Kenneth A. Wilson, City
Attorney (Clearlake, Cloverdale and Healdsburg); Mark T. Boehme, City Attorney
(Concord); Harriet Steiner, City Attorney (Davis); Alan J. Peake, City Attorney
(Delano and Wasco); Robert R. Wellington, City Attorney (Del Rey Oaks and
Marina); Lynn R. McDougal, City Attorney (El Cajon and Imperial Beach); Brad L.
Fuller, City Attorney (Eureka); Scott H. Howard, City Attorney (Glendale); John
Truxaw, City Attorney (Half Moon Bay and Sonoma); Michael J. O'Toole, City
Attorney (Hayward); Julie Biggs, City Attorney (Hemet); Elaine M. Cass, City
Attorney (Hollister); Gail Hutton, City Attorney (Huntington Beach); Charles J.
Williams, City Attorney (Lafayette); John Sanford Todd, City Attorney
(Lakewood); Susan Burns Cochran, City Attorney (Lathrop); William W. Wynder,
City Attorney (Lawndale); Randall A. Hays, City Attorney (Lodi); Sharon D.
Stuart, City Attorney (Lompoc); Robert E. Shannon, City Attorney (Long Beach), Heather
A. Mahood, Assistant City Attorney; Dave Larsen, Town Attorney (Loomis); Robert
K. Booth, Jr., (Los Altos); Steven F. Nord, City Attorney (Merced); Steven T.
Mattas, City Attorney (Milpitas and South San Francisco); William B. Conners,
City Attorney (Monterey); Anthony Canzoneri, City Attorney (Monterey Park);
Robert D. Herrick, City Attorney (Moreno Valley); Michael D. Martello, City
Attorney (Mountain View); Thomas B. Brown, City Attorney (Napa); James R. Anderson,
City Attorney (Nevada City); Gary T. Galliano, City Attorney (Newark and Union
City); Duane E. Bennett (Oceanside); David A. De Berry, City Attorney (Orange);
Gary L. Gillig, City Attorney (Oxnard); David J. Erwin, City Attorney (Palm
Desert); George S. Peyton, Jr., City Attorney (Piedmont); Debra S. Margolis,
City Attorney (Pleasant Hill); Michael H. Roush, City Attorney (Pleasanton);
Michael F. Dean, City Attorney (Plymouth); Daniel J. McHugh, City Attorney
(Redlands); Robert A. Owen, City Attorney (Rialto); Thomas H. Terpstra, City
Attorney (Ripon); Betsy Strauss, City Attorney (Rohnert Park); Mark Doane, City
Attorney (Roseville); Hadden Roth, City Attorney (Ross and San Anselmo); Samuel
L. Jackson, City Attorney (Sacramento); James C. Sanchez, City Attorney
(Salinas); Jonathan Lowell, City Attorney (San Bruno); Robert J. Lanzone, City
Attorney (San Carlos); Casey Gwinn, City Attorney (San Diego), Leslie J.
Girard, Assistant City Attorney; Jeffrey G. Jorgensen, City Attorney (San Luis
Obispo); Roy C. Abrams, City Attorney (San Mateo); Brian M. Libow, City
Attorney (San Pablo); Gary T. Ragghianti, City Attorney (San Rafael); Daniel J.
Wallace, City Attorney (Santa Barbara); Michael R. Downey, City Attorney (Santa
Clara); Marsha Jones Moutric, City Attorney (Santa Monica); Phillip H. Romney,
City Attorney (Santa Paula); Richard K. Denhalter, City Attorney (Stockton);
Bradley W. Sullivan, City Attorney (Sutter Creek); Ann R. Danforth, City
Attorney (Tiburon); Debra E. Corbett, City Attorney (Tracy); J. Dennis Crabb,
City Attorney (Truckee); Scott Nichols, City Attorney (Walnut); and William E.
Gnass, City Attorney (Waterford) for City and County of San Francisco, 86
California Cities and the California State Association of Counties, as Amici
Curiae on behalf of Defendants and Appellants. Nicholas J. Cammarota for California Building Industry
Association, as Amicus Curiae on behalf of Defendants and Appellants. David C. Smith for Building Industry Legal Defense
Foundation, as Amicus Curiae on behalf of Defendants and Appellants. Cassidy, Shimko & Dawson, Anna C. Shimko and
Matthew D. Francois for California Building Industry Association, California
Business Properties Association and Building Industry Legal Defense Foundation,
as Amici Curiae on behalf of Defendants and Appellants. BAXTER, J. This
case presents an issue important to local governments and those interested in
historic preservation: whether an initiative ballot measure, generated by a
city council rather than by voter petition, submitting to the voters an
ordinance that removes a structure or structures from historic preservation
status is a project subject to the California Environmental Quality Act (CEQA;
Pub. Resources Code, ' 21000 et seq.). [FN1] We conclude that CEQA
compliance is required when a project is proposed and placed on the ballot by a
public agency. In so doing we reject defendants' argument that the trial court
and, by implication, the appellate court, should not consider plaintiffs' claim
that the results of the election at which the ordinance in dispute was adopted
must be set aside because their challenge is not one permitted by Elections
Code section 16100. FN1 The parties have assumed that the removal of
buildings from a list of historic properties ("delisting") would
constitute a "project" within the meaning of CEQA. (See Cal.Code
Regs., tit. 14, '15378, subd. (b)(3).) At oral argument before this court the
city conceded that it had not preserved the issue for appellate review.
Therefore, although the Court of Appeal addressed that question and this court
requested briefing on it, we also assume arguendo, without expressing any view,
that delisting is a project. The Court of Appeal rejected the argument of the City
of Sierra Madre that a postelection challenge to a local ordinance may not be
made on grounds other than those specified by statute, concluding that it was
free to address the merits of a claim that the ballot measure in issue here,
City of Sierra Madre Ordinance No. I-97-1 (Ordinance No. 1-97-1), was invalid
because the city had not complied with CEQA before placing the measure on the
ballot as a city council-generated initiative. We conclude that the judgment of the Court of Appeal
affirming the order granting a peremptory writ of mandate should be affirmed.
Although CEQA noncompliance is not among statutory bases for an election
contest (Elec.Code. '16100) and those bases are exclusive if the claim is an
election contest, mandate is a remedy authorized by CEQA to review and set
aside a public agency action taken without CEQA compliance. Because we conclude
that the discretionary submission of a ballot measure to the voters by a city
council is not exempt from CEQA and the petition alleges, the record
demonstrates, and the city acknowledges noncompliance, the invalidity of the
ordinance was established. The trial court properly granted the petition for
writ of mandate, albeit for the wrong reason. We, therefore, affirm the
judgment of the Court of Appeal. I Background The City of Sierra Madre enacted an historic
preservation ordinance in 1987. [FN2] That ordinance created a Cultural
Heritage Commission (CHC) with responsibility for identifying structures of
historic or cultural merit and carrying out procedures to list on the city's
Register of Historic Landmarks those structures worthy of preservation. [FN3]
The ordinance also created a regulatory scheme applicable to listed properties.
[FN4] The ordinance was repealed in July 1997 and replaced by a new
ordinance (Sierra Madre Ord. No. 1134) adding chapters 2.28 and 17.82 to the
Municipal Code. Under the newly adopted chapters 2.28 and 17.82 of the Sierra
Madre Municipal Code, future landmark designation became voluntary. FN2 The factual background has been gleaned from what
the parties term an "Administrative Record." That record is, in fact,
a record of the proceedings before the Sierra Madre City Council and joint
proceedings before both the city council and other agencies, with copies of
various ordinances, proposed ordinances, ballot materials, etc. None of those
proceedings was an adjudicative hearing. Although the petition for writ of mandamus states
that it was brought pursuant to Code of Civil Procedure sections 1085 and
1094.5, the administrative mandamus procedure authorized by the latter section
is not applicable to the actions taken by the city council, which were
legislative, not adjudicative. (Western States Petroleum Assn. v. Superior Court
(1995) 9 Cal.4th 559, 566-568, 38 Cal.Rptr.2d 139, 888 P.2d 1268
[Quasi-legislative action adopting regulations reviewable by traditional
mandamus, not administrative mandamus.].) The city council did not conduct
"a proceeding in which by law hearing is required to be given, evidence is
required to be taken, and discretion in the determination of facts is vested"
in the council. (Code Civ. Proc., ' 1094.5, subd. (a).) Amendment or adoption
of an ordinance is a legislative act. (Fall River Wild Trout Foundation v.
County of Shasta (1999) 70 Cal.App.4th 482, 488, 82 Cal.Rptr.2d 705.) Even
when a legislative body acts after proceedings that bear some indicia of
quasi-judicial action, those proceedings do not affect the legislative
character of the act. (Shapell Industries, Inc. v. Governing Board
(1991) 1 Cal.App.4th 218, 230, 1 Cal.Rptr.2d 818.) FN3 The 1987 ordinance (Sierra Madre Ord. No. 1036)
directed the CHC to "designate and implement the preservation not only of
landmark structures, but the single-family dwelling character and mix of
architectural styles in the community, as well as the natural features."
The commission was to "study and recommend to the City Council what kinds
of landmarks, building, or monuments and historical districts should be
designated as worthy of preservation, protection or enhancement and what
special historical, cultural, social, scientific, architectural or aesthetic
values are applicable to guide the City Council in selecting and preserving
such landmarks for posterity." (Ibid.) The criteria for designation
as a landmark were: "1. The site of an event having significance to the
City, state, or nation. [6] 2. Identification with a person or persons who have
made a significant contribution to the City, state or nation. [6] 3. A quality
example of architecture, or of a construction method, period, or style of
significance. [6] 4. An established neighborhood or district made up of
structures whose presence and character have made a significant contribution to
the history, development, and aesthetic quality of Sierra Madre. [6] 5. Natural
features with significant historical or aesthetic qualities." (Sierra
Madre Mun.Code, art. II, ch. 5, former '' 2442-2443.) FN4 The 1987 ordinance prohibited issuance of a permit
for demolition, historically significant alteration or removal of any building,
structure or site listed in the register of cultural landmarks unless the
matter had been referred to the CHC except when immediate action was necessary
in the interest of public health and safety. In nonemergency situations, the
CHC had 30 days to object to issuance of a permit for those activities. If an
objection was filed, issuance of a permit could be delayed for up to 90 days
or, if necessary, 120 days. During that period the commission, if approved by
the city council, was to use its powers to attempt to preserve the cultural
landmark. (Sierra Madre Mun.Code, art. II, ch. 5, former ' 2443.) If an owner
of a landmark complied with the conditions specified in the ordinance, city
fees for permit and plan checking were waived and the State Historical Building
Code was the governing code. Those benefits were conditioned on maintaining the
structure in reasonable condition, submission of plans for improvements to
design, review by the CHC to ensure compliance with the Standards of the
Secretary of the Interior, and recordation of a covenant requiring subsequent
owners to abide by the conditions. (Sierra Madre Mun.Code, art. II, ch. 5,
former ' 2444.) The 1997 ordinance established procedures by which the
owner of an already listed property may seek delisting by application to the
CHC, which is then required to conduct a public hearing and make a
recommendation to the city council. The city council then determines whether
the request should be granted. Granting an application to delist is required
"if the finding can be made that the information relied upon by the CHC or
the City Council in making the designation is discovered to be false or
substantially erroneous thus rendering the property without historic
merit." (Sierra Madre Mun.Code, ' 17.82.080, subd. A.) An owner may also
seek a certificate of economic hardship, issuance of which may lead to
delisting. If the owner establishes that the economic hardship caused by
designation is disproportionate to the value of the property under landmark
designation, after a public hearing the commission, based on criteria set forth
in the ordinance, [FN5] recommends whether to grant or deny the
application. The ordinance also provides that "any substantial adverse
change to an historic landmark shall be subject to the provisions of the
Municipal Code governing demolitions." (Sierra Madre Mun.Code, '
17.82.110.) FN5 The recommendation must be based on "one or
more of the following findings: [6] 1. Sale or lease of the property is
impractical in comparison to holding the property. [6] 2. Denial of the request
will diminish the value of the property so as to leave substantially no value,
or damage the owner unreasonably in comparison to benefits conferred on the
community. [6] 3. An adaptive reuse study has been satisfactorily conducted,
and found that utilization of the property for other lawful uses is not
feasible, or that it would not allow a reasonable rate of return to the owner.
[6] 4. A rehabilitation study has been satisfactorily conducted, and that it would not allow a reasonable rate of return to
the owner. [6] 5. All means have been explored to relieve possible economic
disincentives to no avail involving City sponsored incentives as of rights, tax
abatements, financial assistance, application of the SHBC, zoning variances,
loans, grants or reimbursements. [6] 6. The owner has made every possible
effort to find a willing buyer for the property who would agree to restore the
historic landmark, and has not been able to find a buyer who would offer a
purchase price which afforded the owner a reasonable rate of return."
(Sierra Madre Mun.Code, ' 17.82.100.) In August 1997, the city adopted an ordinance
governing demolition (Sierra Madre Ord. No. 1142), adding section 15.04.115 to
the municipal code. Pursuant to this ordinance applicants for demolition permits
are required to submit plans for mitigation of adverse impacts the proposed
demolition may cause, including, inter alia, historic preservation. Section
15.04.115 of the municipal code defines demolition as "the alteration,
reconstruction, or elimination of 50% or more, of the floor area or monetary
value of an existing structure." The demolition ordinance provides,
however: (1) the filing of any required reports is not "intended to vest
any discretion (under CEQA or otherwise) in the Building Official to deny such
application. Instead, at the end of the thirty (30) day period [for issuance of
a permit] such permit shall be issued unless such issuance is contrary to any
law or regulation applicable at that date," and (2) "[t]he issuance
of a demolition permit shall be considered a ministerial duty under the
provisions of CEQA Section 15268." [FN6] FN6 The reference is apparently to section 15268 of
title 14 of the California Code of Regulations, commonly known as the CEQA
Guidelines. The CEQA Guidelines are those issued by the California Resources
Agency pursuant to Public Resources Code section 21083 to assist agencies in
implementing CEQA. They may be found at title 14 of the California Code of
Regulations, section 15000 et seq. and are referred to hereafter as CEQA
Guidelines or the Guidelines. Guidelines section 15268 provides: "(a)
Ministerial projects are exempt from the requirements of CEQA. The
determination of what is 'ministerial' can most appropriately be made by the
particular public agency involved based upon its analysis of its own laws, and
each public agency should make such determination
either as part of its implementing regulations or on a case-by-case basis. [6]
... [6] (c) Each public agency should, in its implementing regulations or ordinances,
provide an identification or itemization of its projects and actions which are
deemed ministerial under the applicable laws and ordinances. [6] (d) Where a
project involves an approval that contains elements of both a ministerial
action and a discretionary action, the project will be deemed to be
discretionary and will be subject to the requirements of CEQ.A After the 1997 landmark preservation ordinance was
adopted, several owners of landmark properties in Sierra Madre, asserting that
their properties had been listed in error, asked that their properties be
delisted. The staff of the city's Department of Development Services advised
the city council that case law required the preparation of an environmental
impact report (EIR) assessing the impact of removing a landmark property from
the Register of Historical Landmarks. At a November 18, 1997, special meeting
of the city council and CHC, held to hear from the property owners, many owners
expressed reluctance to share in the $2,500 per property cost of preparing the
EIR. A suggestion was made that the decision on delisting be placed on the
ballot as an initiative and/or referendum that would not be subject to CEQA
requirements. The issue became an agenda item for a November 25,
1997, meeting of the city council. A memorandum prepared by the Director of
Development Services reviewed the background of the item, summarized the views
expressed at the November 18, 1997, meeting, and referred to the suggestion
that the question be submitted to the initiative/referendum process which was
described as an attractive idea as that process was not subject to CEQA. At the
meeting the Director of Development Services orally summarized the item,
concluding with the staff recommendation that the city council explore an
initiative or referendum alternative that would exempt delisting the properties
from CEQA. After the city attorney explained in response to a council member's
inquiry that the measure would be an initiative, [FN7] the council
member, an attorney, suggested that the term "initiative" be used
"because I think that if we make it a referendum, that usually means that
we have already decided something. The key to making this work is this Council
does not make the decision whether to delist." The motion was amended to
use the term "initiative." The same member assured the council that
those properties would still be subject to CEQA for any use that required
discretionary approval. Members also noted that the property owners did not
want to pay for EIR's and the city could not afford to do so, but there would
not be a significant additional cost if the matter was placed on an upcoming
municipal election ballot. Using the initiative to achieve the goal of
delisting would satisfy the objectives of the council which wanted to
accommodate the property owners. FN7 The city attorney then explained that the measure
would be an initiative authorized by Elections Code section 9222. Elections Code section 9222 provides: "The
legislative body of the city may submit to the voters, without a petition
therefor, a proposition for the repeal, amendment, or enactment of any
ordinance, to be voted upon at any succeeding regular or special city election,
and if the proposition submitted receives a majority of the votes cast on it at
the election, the ordinance shall be repealed, amended, or enacted accordingly.
A proposition may be submitted, or a special election may be called for the
purpose of voting on a proposition, by ordinance or resolution." In Lee v. City of Lompoc (1993) 14
Cal.App.4th 1515, 18 Cal.Rptr.2d 389 (Lee ), the Court of Appeal had
held that CEQA review was not necessary to put a
zoning ordinance on the ballot for voter approval regardless of whether the
measure was an initiative or a referendum inasmuch as the electorate was not a
public agency within the meaning of CEQA. On December 9, 1997, the city council approved putting
a measure on the April 14, 1998, election ballot as an initiative proposed by
the city council. If approved by the voters, the ballot measure would enact an
ordinance removing the 29 historic landmarks from the Register of Historic
Landmarks. That proposal became Ordinance No. I-97-1 on the April 14, 1998
ballot. Section xyz of the measure would amend Sierra Madre
Ordinances Nos. 1036 and 1134 by delisting the specified 29 properties. Before the vote, public speakers objected to the
procedure as inappropriate and one asserted that CEQA did apply to this method
of delisting. Others criticized the wording of the ordinance and analysis on the
ground that they did not alert the voters the CEQA regulations would still
apply should any significant changes be made to the properties, and that they
would continue to be subject to the zoning ordinance. It was also asserted that
the ordinance was misleading in stating that the owners of the 29 properties
had not approved the listing of their properties and in stating that the
properties lacked historic value. At a December 9, 1997, city council meeting, the
chairperson of the CHC asserted that the initiative or referendum process might
not free the properties from the CEQA EIR requirement and argued that the
council had an obligation to consider the historic merit of each property. CHC
also claimed that the statement provided to the voters did not properly state
the purpose of the ordinance or describe the consequences of delisting, and did
not warn that the properties would still be subject to CEQA. A property owner
in attendance stated that the ordinance was not intended to determine if the 29
properties were historic. It was to fulfill a promise of the council that
listing was to be voluntary and to save the city the cost of preparing an EIR.
The city council adopted resolution No. 97-69, by means of which Ordinance No.
I-97-1 was submitted to the voters. On February 10, 1998, the city administrator reported
to the city council on an agenda item that proposed to adopt, as Sierra Madre
Ordinance No. 1151 (Ordinance No. 1151), an amendment to section xyz of
Ordinance No. I-97-1 for clarification purposes, this amendment to be effective
only if Ordinance No. I- 97-1 were adopted. As amended, section xyz of
Ordinance No. I-97-1 would read (with changes in the language italicized): "Section xyz: the voters of the City do hereby
de-list (de-designate) the following described properties from the effects of:
1) ordinances 1036 and 1134; 2) from the effects of those portions of
the General Plan which relate to historic preservation; and 3) from the
effects of any federal, state, or local regulation, guideline or other
imposition as a result of such properties having been listed as historic
under ordinances 1036 and 1134. Such de-listing shall not deprive the City
Council of authority or jurisdiction to modify this Ordinance in the
future." At the February 10, 1998, city council meeting,
proposed Ordinance No. 1151 was discussed. The city attorney advised that the
ballot language of Ordinance No. I-97-1 could not be changed but the measure
could be amended prior to the election by Ordinance No. 1151 notwithstanding
the mayor's concern that changing the language of that measure would make it
moot. The mayor offered his view that changing the measure before it was passed
would cause confusion. The city administrator advised that the staff
recommended sending a mailer to all property owners clarifying the language.
After public comment and more debate Ordinance No. 1151 was given its first
approval by a unanimous voice vote of the city council. Ordinance No. 1151 was adopted formally by the city
council on February 24, 1998. The city prepared and distributed to the voters a
ballot pamphlet that included an "Impartial Analysis" of Ordinance
No. I-97-1. The analysis explained that, if passed, the ordinance would delist
29 properties then on the Register of Historic Resources and Landmarks. It
advised that the owners claimed that the properties were erroneously included,
the reasons for those claims, [FN8] and the conclusions of the CHC that
preservation of the properties was important in retaining the values and culture
of the city, that the properties had been listed properly, and that the
properties should be preserved. The analysis also explained that the city
council had decided to let the electorate settle the issue. In a March 16,
1998, letter to registered voters, the city administrator advised that the
purpose of the April 14, 1998, election was to select three council members and
"to affirm or deny Ordinance No. I-97-1 relating to the removal of certain
properties from Sierra Madre's official list of Historic Resources. Ordinance
No. I-97-1 was adopted by resolution at the city council meeting of December 9,
1997." The letter also advised the voters of the council's action amending
Ordinance No. I-97-1, the amendment being for clarification purposes and to
take effect only if Ordinance No. I-97-1 was passed by the voters. Enclosed as
attachments were copies of the city attorney's impartial analysis, [FN9]
Ordinance No. 1151, Ordinance No. I-97-1, and arguments pro and con, with
rebuttals. The argument in favor of the measure asserted that the 29 properties
had been designated without analysis to assure that they met the criteria, the
city had advised the owners that the listing was voluntary, and that the owners
had been involuntarily subjected to regulation by the CHC for 10 years. Without
explanation it concluded: "Vote 'Yes' on Ordinance 1-97-1. Save the tax
payers approximately $72,000." The argument against the measure asserted
that the ordinance could be amended only by a vote of the people and that
Ordinance No. 1151 was an attempt to cure overly broad language of a poorly
drafted measure. The argument also asserted that, contrary to the Impartial
Analysis, the council had not studied whether the properties should remain on
the list, but had deferred consideration pending adoption of the new historic
preservation ordinance and, thereafter "[w]hen it became evident that
removing the 29 properties from the existing register would require
environmental review (CEQA), this proposition was used to take advantage of a
claimed exemption from CEQA compliance." FN8 The reasons given were: "a) that Ordinance
1036 was intended to be a voluntary ordinance as to which properties would be
listed only with the consent of the respective owners. [6] b) that the 29
properties listed above never gave their consent, never should have been
included, and should in fairness be de-listed at this time. [6] c) that the
imposition of regulations regarding historic landmarks should be reserved only
for those properties involving an obvious historic status, and should not be
overused for non-historic or only marginally historic significance. [6] d) that
none of the 29 properties listed above have any real historic value, and should
not be burdened with the regulations and limitation of landmark status." FN9 This document advised: "1. On April 14, 1998,
a measure will appear on the ballot asking for approval or disapproval for the
de-listing of 29 properties from the advantages and disadvantages of having
been designated as Sierra Madre 'Historic Resources'. Please refer to your
official ballot documents for further information. "2. Said measure was placed on the ballot by
our City Council without recommendation as to 'Yes' or 'No', because the City
Council was unable after years of study to reach a decision as to whether said
29 properties should remain on the designation list or be removed. "3.
Since the measure was placed on the ballot, both the pro and con groups have
voiced concern as to the possibility that the measure as presented could be
misinterpreted to have a broader scope than was intended. "4. Because it is now too late to officially
change the ballot wording, in order to present to the electorate as clear a
language as possible, the Council has adopted Ordinance 1151 clarifying the
language of the ballot measure so that (if passed), the intent of the
electorate will be unambiguous in its impact and will de-list 29 properties
only from Ordinances 1036 and 1134 and 1) from those limited portions of the
General Plan relating to such designation and 'Historic Resources', and 2) to
the extent permissible from those federal and state regulations applicable to
such 29 properties from having been so listed. "5. If you wish to de-list the 29 properties
from the historic preservation regulations imposed by Ordinances 1036 and Ord.
1134, vote 'YES'; if you wish to continue the imposition of historic
regulations upon such 29 sites, vote 'NO'! "6. The vote either way does not preclude
future action by the City Council in compliance with applicable laws with
regard to any or all of the 29 properties." At the April 14, 1998, election, Ordinance No. I-97-1
received an affirmative vote of 1,536, with 846 persons voting against it. Friends of Sierra Madre and Margaret Buckner filed the
instant action, a petition for writ of mandamus, in the Los Angeles County
Superior Court on June 8, 1998. Both the City of Sierra Madre and the city
council are named as respondents. Alleging that the initiative process had been
used to delist the 29 properties solely to avoid environmental review of the
consequences, plaintiffs sought to set aside and void the election and all
approvals relevant to Ordinance No. I-97-1, alleging failure to comply with
CEQA. The petition also alleged violation of the Elections Code on the ground
that amending Ordinance No. I-97-1 to materially change its scope and intent in
advance of submitting the measure to the voters and the attempt to amend it
without a vote of the electorate were unauthorized. In an answer to the petition, the city and the city
council asserted that the petition failed to fully, fairly, and accurately
describe the various proceedings leading up to the adoption of Ordinance No.
I-97-1. They also asserted, among several affirmative defenses, that CEQA was not
applicable to Ordinance No. I-97-1 or to the actions related thereto taken by
the city and that there had been no violation of any law; specifically that
neither Public Resources Code section 21167 nor Elections Code section 9295 had
been violated. Petitioners asserted in their opening trial brief
that, while properties listed in the city's register of historic landmarks may
not be significantly altered or demolished without review by the CHC, nonlisted
properties are granted "ministerial over-the-counter demolition
permits" under Sierra Madre Municipal Code section 15.04 .115. With
respect to the alleged Elections Code violation, they asserted that the
election procedure and materials failed to comply with Elections Code sections
9280, 9281, 9282, and 9223. Respondents contended, inter alia, that the city
council had not approved Ordinance No. I-97-1, but had simply submitted it to
the voters for ratification. Relying on section 15378, subdivision (b)(4) of
the CEQA Guidelines, they argued that it was a measure submitted to the voters
for approval and thus was not a project subject to CEQA. They also argued that
petitioner misconstrued the demolition ordinance, which requires mitigation
measures when the owner proposes to demolish an historical building and gives
the city the power to evaluate the mitigation measures, and that the members of
the city council and the owners of the delisted properties understood that
demolition would be subject to CEQA review. The demolition ordinance required
that notice of a request for a demolition permit be given to all members of the
city council and city commissions. Section IV.C.2.i of the Guidelines for
Implementing the California Environmental Quality Act for the City of Sierra
Madre trigger CEQA review whenever a historic structure is affected. Moreover,
petitioners had neither sought a preelection injunction nor initiated a proper
election contest under Elections Code section 16100 and, assuming the action
was a proper challenge had not brought it within the 30 days permitted by
Elections Code section 16401, subdivision (d). Relying on the administrative record, on documents
submitted as exhibits to the pleadings, and on matters of which judicial notice
was taken including a copy of the sample ballot, the trial court granted a
peremptory writ of mandate setting aside Ordinance No. I-97-1 and Ordinance No.
1151 on the ground that the procedures followed in placing it on the ballot and
notifying voters of its impact as amended by the city council, violated the
Elections Code. The court explained in a statement of decision that the failure
to print the amended text of Ordinance No. I-97-1 on the ballot or in the voter
information portion of the same ballot violated Elections Code section 9280.
Mailing a clarification to the voters did not substantially comply with that
section, whose purpose is to alert voters to precisely what they are voting on,
and might have confused rather than enlightened them. The judgment recited that the petition was granted
only as to the Elections Code violation and was denied as to the CEQA issues.
"The sample ballot neither informed voters of precisely what they were
voting on nor directed them to where they could find it, and the election was
therefore fundamentally unfair." The city and city council appealed from the judgment,
except insofar as it denied relief on the CEQA claim. Petitioners filed a
cross-appeal from the CEQA ruling. II The Court of Appeal
Judgment The Court of Appeal first concluded that the city had
substantially complied with the Elections Code. It, too, rejected the argument
that a challenge to ballot materials may be made only before the election,
noting that several courts have considered such challenges postelection. (See California
Gillnetters Assn. v. Department of Fish and Game (1995) 39 Cal.App.4th
1145, 1164, 46 Cal.Rptr.2d 338.) Then, relying on Horwath v. City of East
Palo Alto (1989) 212 Cal.App.3d 766, 777-778, 261 Cal.Rptr. 108, it
considered whether the deficiencies in the ballot measure affected the ability
of the voters to make an informed choice. Horwath v. City of East Palo Alto, supra, 212 Cal.App.3d at pages
777-778, 261 Cal.Rptr. 108, held that due process mandates invalidation of a
ballot measure only if "the materials, in light of other circumstances of
the election, were so inaccurate or misleading as to prevent the voters from
making informed choices. In conducting this inquiry, courts should examine the
extent of preelection publicity, canvassing and other informational activities,
as well as the substance or content of such efforts. The ready availability of
the text of the ordinance, or the official dissemination and content of other
related materials, such as arguments for or against the measure, will also bear
on whether the statutory noncompliance rendered the election unfair. Finally,
courts should take into account the materiality of the omission or other
informational deficiency. Flaws striking at the very nature and purpose of the
legislation are more serious than other, more ancillary matters." After examining the ballot materials and the
circumstances in which Ordinance No. I-97-1 had been placed on the Sierra Madre
ballot, the Court of Appeal concluded that the purpose of the measure was
clearly and unambiguously set forth in the ballot materials and that any
informational deficiencies in the Impartial Analysis were ancillary to the main
purpose of Ordinance No. I- 97-1. There had been extensive public debate before
the election, several public hearings, and the mailing of a sample ballot and a
letter clearly explaining the purpose and intent of Ordinance No. I-97-1 and
the reason for Ordinance No. 1151. There was no evidence in the record that the
voters were confused or that the deficiencies alleged had affected the
fundamental fairness of the election. Therefore, the violations of Elections
Code section 9280 did not require invalidation of the measure on due process
grounds. The Court of Appeal then considered whether Ordinance
No. I-97-1 should be invalidated because it was a project subject to CEQA
requirements. The court concluded that delisting historic properties was a
project within the meaning of CEQA because delisting led to a change in legal
status removing the evidentiary presumption of Public Resources Code section
21084.1 that a listed structure is an historically or culturally significant
resource and may, in Sierra Madre, remove the property from the jurisdiction of
the CHC and the historic preservation ordinance, Sierra Madre Ordinance No.
1036. Although the city might still have the power to review the historical
significance of the property when a demolition permit was sought, delisting
might have the effect of removing the property from CEQA requirements for other
types of use, for building permits for alteration, and for relocation of the
property. Thus, delisting constituted a project with an effect that might cause
a substantial adverse change in the significance of an historical resource. The court also held that Ordinance No. I-97-1 was not
exempt under CEQA Guidelines section 15378 as a ballot measure because, before
placing it on the ballot, the city council itself had approved Ordinance No.
I-97-1. The court reasoned that Guidelines section 15378 was a codification of Stein
v. City of Santa Monica (1980) 110 Cal.App.3d 458, 168 Cal.Rptr. 39 (Stein),
and was not intended to exempt situations that are distinguishable from Stein.
Stein held only that placing a rent control charter amendment on the ballot
on petition of the voters, where the city did not engage in any other related
matters or projects, was not a project subject to CEQA. Thus, the guideline
exempting ballot measures from the CEQA EIR requirement applied only when the
public agency acts solely in a ministerial manner to place a citizen- initiated
measure on the ballot or if the public agency has already undertaken CEQA
review for a project and submits approval of the project to the voters. The Court of Appeal held that when the city abandoned
its existing procedures in response to the opposition of the owners of the 29
properties to paying for EIR's and turned instead to use of an initiative
measure to accomplish delisting, it effectively exercised its discretion to
approve the project. The delisting was a discretionary project subject to CEQA
because the city could have exercised its discretion to follow a procedure in
which delisting would have been allowed or denied on the basis of an EIR, but
chose not to. (Friends of Westwood, Inc. v. City of Los Angeles (1987)
191 Cal.App.3d 259, 272, 235 Cal.Rptr. 788.) Having reached that conclusion,
the Court of Appeal determined, as a matter of first impression, that the
appropriate remedy for the CEQA violation was to set aside both the resolution
placing Ordinance No. I-97-1 on the ballot and the election because failure to
comply with CEQA made the election fundamentally unfair and affected the
result. III Discussion The City of Sierra Madre and its city council dispute
the conclusion of the Court of Appeal that the council's decision to submit a
ballot measure to delist the 29 properties was a project subject to CEQA,
relying on CEQA Guideline section 15378, subdivision (b)(3), which exempts
"the submittal of proposals to a vote of the people" and an argument
that the electorate is not a public agency subject to CEQA. They also contend
that postelection action seeking to set aside the ordinance is not one
authorized by Elections Code section 16100 and is not otherwise permitted since
the constitutionality of the ordinance is not challenged. A. CEQA Compliance. 1. Overview of CEQA. An overview of the purpose and structure of CEQA is
necessary to an analysis of the applicability of the EIR requirement of that
law to the actions of the Sierra Madre city council. The purpose of CEQA is set out in two introductory
sections, which state the Legislature's findings and intent in creating the
law. (Pub. Resources Code, '' 21000, 21001.) [FN10] While the law is
directed primarily to ecological concerns and preservation of the environment,
section 21001, subdivision (c), declares it is also the policy of the state to
"preserve ... examples of the major periods of California history." FN10 Public Resources Code section 21000, enacted in
1970, declares: "The Legislature finds and declares as
follows: "(a) The maintenance of a quality environment
for the people of this state now and in the future is a matter of statewide
concern. "(b) It is necessary to provide a high-quality
environment that at all times is healthful and pleasing to the senses and
intellect of man. "(c) There is a need to understand the
relationship between the maintenance of high-quality ecological systems and the
general welfare of the people of the state, including their enjoyment of the
natural resources of the state. "(d) The capacity of the environment is
limited, and it is the intent of the Legislature that the government of the
state take immediate steps to identify any critical thresholds for the health
and safety of the people of the state and take all coordinated actions
necessary to prevent such thresholds being reached. "(e) Every citizen has a responsibility to
contribute to the preservation and enhancement of the environment. "(f) The interrelationship of policies and
practices in the management of natural resources and waste disposal requires
systematic and concerted efforts by public and private interests to enhance
environmental quality and to control environmental pollution. "(g) It is
the intent of the Legislature that all agencies of the state government which
regulate activities of private individuals, corporations, and public agencies
which are found to affect the quality of the environment, shall regulate such
activities so that major consideration is given to preventing environmental
damage, while providing a decent home and satisfying living environment for
every Californian." Public Resources Code section 21001, which
establishes state policy engendered by those findings, made it clear, however,
that CEQA is also concerned with the preservation of historic resources. That
section provides: "The Legislature further finds and declares
that it is the policy of this state to: "(a) Develop and maintain a high-quality
environment now and in the future, and take all action necessary to protect,
rehabilitate, and enhance the environmental quality of the state. "(b) Take all action necessary to provide the
people of this state with clean air and water, enjoyment of aesthetic, natural,
scenic, and historic environmental qualities, and freedom from excessive noise.
"(c) Prevent the elimination of fish or
wildlife species due to man's activities, insure that fish and wildlife
populations do not drop below self-perpetuating levels, and preserve for future
generations representations of all plant and animal communities and examples of
the major periods of California history. "(d) Ensure that the long-term
protection of the environment, consistent with the provision of a decent home
and suitable living environment for every Californian, shall be the guiding
criterion in public decisions. "(e) Create and maintain conditions under
which man and nature can exist in productive harmony to fulfill the social and
economic requirements of present and future generations. "(f) Require governmental agencies at all
levels to develop standards and procedures necessary to protect environmental
quality. "(g) Require governmental agencies at all
levels to consider qualitative factors as well as economic and technical
factors and long-term benefits and costs, in addition to short-term benefits
and costs and to consider alternatives to proposed actions affecting the
environment." CEQA requirements and procedures are triggered by any
proposed public or private project that is not exempted by statute. Those
procedures are intended to ensure that public agencies identify any potential
significant environmental impact of a proposed project and condition approval
of that project on implementation of feasible mitigation measures that will
avoid or substantially lessen the potential environmental impact. (Pub.
Resources Code, ' 21002.) "Project" is defined for CEQA purposes as
"an activity which may cause either a direct physical change in the
environment, or a reasonably foreseeable indirect physical change in the
environment, and which is any of the following: "(a) An activity directly undertaken by any
public agency. "(b) An activity undertaken by a person which is
supported, in whole or in part through contracts, grants, subsidies, loans, or
other forms of assistance from one or more public agencies. "(c) An activity that involves the issuance to a
person of a lease, permit, license, certificate, or other entitlement for use
by one or more public agencies." (Pub. Resources Code, ' 21065.) To achieve the objectives of CEQA, the Legislature has
mandated the preparation and consideration of an EIR before any public agency
approves a project that is not statutorily exempt [FN11] unless the lead
agency [FN12] issues a negative declaration, i.e., a declaration that
the proposed project will not have a significant effect on the environment.
(Pub. Resources Code, '' 21064, 21080.1, 21082.2.) The purpose of an EIR is to
inform the agency and the public, in detail, about the effect the project is
likely to have on the environment and the ways available to minimize that
impact. (Pub. Resources Code, ' 21061.) [FN13] The Court of Appeal
summarized the framework of CEQA in Friends of "B" Street v. City
of Hayward (1980) 106 Cal.App.3d 988, 999-100, 165 Cal.Rptr. 514: "The
act provides a three-tiered structure to guide agencies: If a proposed project
falls within a category exempt from the requirements of CEQA by administrative
regulation, or if it is certain that the project will not have a significant
effect upon the environment, no further agency evaluation is required.
[Citations.] If there is a possibility that the project may have a significant
environmental effect, the agency must conduct an initial threshold study.
[Citation.] If the initial study reveals that the project will not have such
effect, the lead agency may complete a negative declaration briefly describing
the reasons supporting this determination. [Citations.] However, if the project
may have a significant effect on the environment, an EIR must be prepared.
[Citations.]" (Fn. omitted.) FN11 Construction of housing in urbanized areas is
among the projects for which no EIR is required if specified statutory
conditions are met. (Pub. Resources Code, ' 21080.7.) FN12 " 'Lead agency' means the public agency which
has the principal responsibility for carrying out or approving a project which
may have a significant effect upon the environment." (Pub. Resources Code,
' 21067.) FN13 " 'Environment' means the physical conditions
which exist within the area which will be affected by a proposed project,
including land, air, water, minerals, flora, fauna, noise, objects of historic
or aesthetic significance." (Pub. Resources Code, ' 21060.5.) When the lead agency determines that an EIR is
necessary, [FN14] it must notify all other responsible agencies which
must, in turn, specify to the lead agency the scope and content of the EIR that
is germane to that agency's area of responsibility. (Pub. Resources Code, '
21080.4.) If the EIR identifies significant effects on the environment the lead
agency may not approve the project unless it finds that changes have been made
in the project to avoid those effects, the mitigation measures identified in
the EIR are not feasible, or there are overriding benefits that outweigh the
impact on the environment. (Pub. Resources Code, ' 21081.) FN14 Public Resources Code section 21083 imposes on the
Office of Planning and Research of the California Resources Agency the
responsibility to develop, and the secretary of the agency to adopt guidelines
setting out the criteria under which agencies are to determine if a project may
have a " 'significant effect on the environment.' " (Ibid.)
Those criteria must require such a finding if: "(a) A proposed project has the potential to
degrade the quality of the environment, curtail the range of the environment,
or to achieve short- term, to the disadvantage of long-term, environmental
goals. "(b) The possible effects of a project are
individually limited but cumulatively considerable. As used in this
subdivision, 'cumulatively considerable' means that the incremental effects of
an individual project are considerable when viewed in connection with the
effects of past projects, the effects of other current projects, and the
effects of probable future projects. "(c) The environmental effects of a
project will cause substantial adverse effects on human beings, either directly
or indirectly." (Ibid.) The CEQA requirements apply to discretionary projects
carried out or approved by public agencies, including enacting and amending
zoning ordinances, issuance of conditional use permits, and approving tentative
subdivision maps (Pub. Resources Code, ' 21080), but "[m]inisterial
projects proposed to be carried out or approved by public agencies" and
those the agency rejects or disapproves are expressly exempted from CEQA. (Id.,
subd. (b)(1) & (5).) The applicability of CEQA to historic structures is
made clear by Public Resources Code sections 5020.1, subdivision (j), 21084,
and 21060.5. Section 5020.1, subdivision (j) states: " 'Historical resource'
includes, but is not limited to, any object, building, structure, site, area,
place, record, or manuscript which is historically or archaeologically
significant, or is significant in the architectural, engineering, scientific,
economic, agricultural, educational, social, political, military, or cultural
annals of California." Section 21084 provides that the California
Resources Agency guidelines may specify classes of projects that do not have a
significant effect on the environment, but may not include among those
projects, inter alia, historic buildings. "Environment" is defined in
section 21060.5 as including "objects of historic or aesthetic
significance." Public Resources Code section 21084.1, which declares
that "[a] project that may cause a substantial adverse change in the
significance of an historical resource is a project that may have a significant
effect on the environment," also provides: "Historical resources
included in a local register of historical resources, ... or deemed significant
pursuant to criteria set forth in subdivision (g) of Section 5024.1, are
presumed to be historically or culturally significant for purposes of this
section, unless the preponderance of the evidence demonstrates that the
resource is not historically or culturally significant. The fact that a
resource is not listed in, or determined to be eligible for listing in, the
California Register of Historical Resources, not included in a local register
of historical resources, or not deemed significant pursuant to criteria set
forth in subdivision (g) of Section 5024.1, shall not preclude a lead agency
from determining whether the resource may be an historical resource for
purposes of this section." These statutory provisions are supplemented by the
Guidelines. 2. Is a public-agency-generated initiative exempt from
CEQA under Guidelines section 15378, subdivision (b)(3)? [FN15] FN15 The request of the City of Sierra Madre and city
council that the court take judicial notice of a proposed modification of the
demolition ordinance to provide a 30 day delay in issuance of demolition
permits to enable the city council to review all applicable ordinances and
regulations is granted. In all other respects the requests of the city and city
council for judicial notice are denied. The request of the Attorney General that we take
judicial notice of a document from the 1982 rulemaking file of the California
Resources Agency entitled Summary of and Response to Comments, State CEQA
Guidelines, Neumiller and Beardslee is granted. This document is relevant to
the scope of Guidelines section 15378, subdivision (b)(3), formerly section
15378, subdivision (b)(4). The agency's responses to comments received in the
rulemaking process must be included in its statement of reasons stating its intent
in adopting a regulation (Gov.Code, ' 11347.3) and thus constitutes part of the official statement of regulatory
intent. Regardless of whether the city council had decided to
delist the 29 properties before voting to place the initiative that became
Ordinance No. I-97-1 on the ballot, that action was improper unless Guidelines
section 15378, subdivision (b)(3) exempted the ballot measure from CEQA
compliance. Guidelines section 15378, subdivision (b)(3)
(hereafter Guidelines section 15378(b)(3)) provides, inter alia: "Project
does not include: [6] ... [6] (3) The submittal of proposals to a vote of the
people of the state or of a particular community. (Stein v. City of Santa
Monica (1980) 110 Cal.App.3d 458, 168 Cal.Rptr. 39)[.]" In Stein, supra, 110 Cal.App.3d 458, 168
Cal.Rptr. 39, the city placed an initiative charter amendment on the ballot
without complying with CEQA. The Court of Appeal affirmed the denial of a
petition for writ of mandate by which the petitioners sought to block
implementation and enforcement of the amendment. The only issue was whether
CEQA applied to an initiative charter amendment placed on the ballot in
response to a petition signed by the requisite number of registered voters.
Noting that California Constitution, article XI, section 3, and Government Code
section 34450 required that such measures be submitted to the voters, the Court
of Appeal held that this procedure for amending the city charter involved no
discretionary activity by the city. Moreover, as the city acted only as the
agent of the electorate, the proposal was not a project of a public agency. It
was therefore a nondiscretionary activity not contemplated by CEQA. (Stein,
supra, 110 Cal.App.3d at pp. 460-461, 168 Cal.Rptr. 39.) The Court of Appeal here distinguished Stein on
the basis that Ordinance No. I-97-1 was not an initiative sponsored by members
of the electorate that the city council was required to place on the ballot. It
then concluded that Guidelines section 15378(b)(3) did not excuse the failure
to comply with CEQA because the evidence in the record was sufficient to
establish that the city council placed Ordinance No. I-97-1 on the ballot only
after it had decided to delist the affected properties. That decision and the
decision to place the measure on the ballot were discretionary, not
ministerial. Therefore, placing the council-generated initiative measure on the
ballot was not the type of ministerial act contemplated by the guideline. Although Guidelines section 15378(b)(3) makes no
distinction between council-generated and voter-sponsored ballot measures and
on its face appears to exempt all from CEQA, the Court of Appeal concluded
that, by referring to the Stein decision, the California Resources
Agency intended to "codify" Stein, supra, 110 Cal.App.3d 458,
168 Cal.Rptr. 39, i.e., to limit the exemption to nondiscretionary ministerial
actions that placed measures initiated by the citizenry on a ballot for
approval by the electorate. Amicus curiae State of California agrees that
Guidelines section 15378(b)(3) is not intended to exempt all ballot measures
from CEQA. In support of that view, the Attorney General relies on that part of
the Summary of and Response to Comments document from the files of the
California Resources Agency, prepared in conjunction with its 1982 rulemaking,
of which we have taken judicial notice. (See fn. 15, ante.) This portion
of the Summary of and Response to Comments addresses a proposal by a law firm
to amend what was then Guidelines section 15378, subdivision (b)(4) (now '
15378(b)(3)) to cover any activity directed or authorized by a vote of the
people. The firm suggested, e.g., that if by initiative the voters directed the
city council to take all steps necessary to construct a wastewater treatment
plant, CEQA should not apply to that project. The comment on that proposal explained why the agency
declined to expand the existing exemption. The first consideration was that
when a citizen-sponsored initiative was placed on the ballot the city's
decision to do so was purely ministerial. A second consideration was the
inability to identify a lead agency. The groups sponsoring the initiative
should not be burdened with the cost of an EIR. Third, CEQA should not prevent
the people from voting on an issue. The comment then explained the existing section:
"Although we wished to exempt from CEQA the step of submitting an issue to
the vote of the people, we did not see this provision as a complete exemption
from CEQA for any project related to the vote of the people. We believed that
if a public agency was required to take one or more discretionary actions
concerning a project that was subject to the vote, then the public agency
should comply with CEQA before taking its discretionary action." A subsequent paragraph suggests, however, that the
comment that the agency did not see the section "as a complete exemption
from CEQA for any project related to the vote of the people" referred to
actions subsequent to the vote. In the specific instance suggested by the law
firm, the city would have discretionary power over the manner in which the
project was carried out. Nothing in this document clarifies whether the agency
intended that the exemption from CEQA for ballot measures encompass initiatives
generated by a public agency. The addition of the citation of Stein to
Guidelines section 15378(b)(3) is more indicative of the agency's intent with
respect to initiative ballot measures, suggesting the agency intended that the
exemption apply only in the Stein situation, i.e., when placing an initiative
measure on the ballot was a ministerial act compelled by law. We presume that the California Resources Agency
intended that the Guidelines section 15378(b)(3) conform to section 21080,
subdivision (b)(1), which expressly excepts "[m]inisterial projects
proposed to be carried out or approved by public agencies," and, as Stein
held, placing a voter-sponsored measure on the ballot is a ministerial act.
Moreover, imposing CEQA requirements on such initiatives might well be an
impermissible burden on the electors' constitutional power to legislate by
initiative. (Cal. Const., art. II, '' 8, 11.) We so held in the context of
initiatives directed to the amendment of a general plan, the amendment of
zoning ordinances, and the preservation of agricultural land, which were
challenged for failure to comply with procedural prerequisites applicable to
legislative bodies. (See DeVita v. County of Napa (1995) 9 Cal.4th 763,
785-786, 38 Cal.Rptr.2d 699, 889 P.2d 1019, and cases cited.) We also noted in DeVita,
that Elections Code sections 9111 and 9112, permit, but do not require, a city
or county to conduct an environmental impact study in conjunction with the
placement of a voter-generated initiative on the ballot as long as that review
does not interfere with prompt placement of the initiative on the ballot. (DeVita,
supra, at p. 795, 38 Cal.Rptr.2d 699, 889 P.2d 1019.) There is therefore a
clear distinction between voter-sponsored and city council-generated
initiatives. We also presume, since an administrative regulation may not exceed the scope of authority granted by or be inconsistent with the statute pursuant to which it is promulgated (Gov.Code, '' 11342.1, 11342.2; Agnew v. State Bd. of Equalization (1999) 21 Cal.4th 310, 321, 87 Cal.Rptr.2d 423, 981 P.2d 52), that the California Resources Agency did not intend to exempt from CEQA any project that might cause a significant adverse impact on the environment unless exemption is permitted by CEQA or mandated by other controlling law. The city argues that the court should defer to the expertise of the administrative agency in its construction of the statute (see Dyna-Med v. Fair Employment & Housing Com. (1987) 43 Cal.3d 1379, 1388-1389, 241 Cal.Rptr. 67, 743 P.2d 1323), but offers no basis for its assumption that the Resources Agency i |